Mariko wants to buy a hand-knotted rug made without child labor. What challenge does she face in making this purchase?
A)The marginal benefit curve has a positive slope.
B)The markets for hand-knotted rugs do not function at equilibrium.
C)Most suppliers have no way of knowing whether child labor was used in production.
D)It will be difficult for her to verify seller claims about the use of child labor.

Question

Quizplus · Accepted Answer

It will be difficult for Mariko to verify seller claims about the use of child labor as there is no standardized and regulated certification process for this. Many suppliers may claim to use no child labor, but it may be difficult to verify the truth behind these claims.

Mariko Wants to Buy a Hand-Knotted Rug Made Without Child